The Independent Pricing Tribunal of New South Wales (IPART) is currently carrying out a review of the Operating Licence of Sydney Water Corporation. It is considering including a target level of leakage and, if appropriate, other leakage measures in the Licence and has engaged WS Atkins International Ltd to provide advice in this area.

This report sets out the findings of our review of whether a leakage target is appropriate for Sydney Water, the form that this could take, and other possible leakage measures that could be included in the Licence. We present the justification for the measures selected and the values to be achieved by Sydney Water over the Licence period.